Kingfisher, the retail giant behind B&Q and Screwfix, has confidently raised its full-year profit target despite acknowledging a softer trading environment in the UK. The group's shares responded positively, climbing nearly 5% in early Tuesday trading.
Upgraded Financial Guidance
The company now expects to deliver a pre-tax profit of between £540 million and £570 million for the financial year. This marks a significant increase from its previous forecast, which guided investors towards a range of £480 million to £520 million.
This optimistic revision comes even as Kingfisher reported a modest group like-for-like revenue increase of 0.9% to £3.25 billion for the three months to October 31. The performance was bolstered by stronger results in the UK and Ireland, where like-for-like sales grew by 3% to £1.69 billion during the quarter.
Navigating Market Challenges
Kingfisher openly addressed the softening market conditions affecting both the UK and Poland throughout the third quarter. The company stated that the wider UK DIY and home improvement market had been slightly negative over this period.
In its official statement, the retail group expressed continued mindfulness of several economic pressures, including persistent inflation, uncertainty surrounding the autumn Budget, and a softening labour market.
Strategic Success and Future Outlook
Chief Executive Officer Thierry Garnier attributed the company's robust performance to strategic initiatives focused on e-commerce, trade customers, and core product categories. He emphasised that the growth has been volume-led, particularly in big-ticket items.
B&Q, Screwfix, and the Iberian operations continue to strongly outperform their respective markets, according to company statements. The closure of competitor Homebase stores over the past year has also provided an additional boost to Kingfisher's market position.
Market analysts from investment platform eToro noted that while Kingfisher's share price has outperformed the FTSE 100 throughout 2025, ongoing macroeconomic uncertainty could moderate near-term growth. Investors are particularly focused on the company's progress in reviving its French operations and sustaining margin improvements across the group.
Following the announcement, shares in Kingfisher were 4.9% higher in early trading, reflecting market confidence in the company's revised strategy and financial outlook.
